The World Bank has reportedly approved a loan of 454.4 million euros ($474.4 million) to help South Africa fund COVID-19 vaccine purchases, reported News 24.
“The project will retroactively finance the procurement of 47 million COVID-19 vaccine doses by the GoSA (Government of South Africa),” the World Bank and South Africa’s National Treasury said in a statement released on Monday.
South Africa has reported the most coronavirus cases and deaths on the African continent, with more than 3.9 million confirmed coronavirus cases and more than 101,000 deaths. It initially struggled to secure vaccines due to limited supplies and protracted negotiations, but it is now well-supplied with doses.
Ismail Momoniat, acting director-general of South Africa’s National Treasury, said the World Bank loan is part of government efforts to cut debt-service costs by using cheaper funding sources in its response to the pandemic. He said the loan will be used to support the country’s health system to respond to COVID-19 through the roll-out of vaccines, critical research, and treatment measures.
More than 36.4 million doses of COVID-19 vaccines have been administered as of Monday. Just over 50% of the country’s adults and 29.9% of 12 to 17-year-olds have been vaccinated. The vaccination has slowed in recent months, despite efforts to boost take-up.
In the statement, the Treasury and the World Bank said that more can be done to increase vaccination coverage and improve South Africa’s economic recovery.
Marie Francoise Marie Nelly, the Managing director of the World Bank, said, “This support is to put the country on a more resilient and inclusive growth path by boosting South Africa’s vaccination effort with the goal of vaccinating up to 70% of the country’s overall population.”
Nelly added that this project builds on the World Bank’s country partnership framework 2022-2026, jointly developed with the government in July 2021 to help stimulate investment and job creation.
